AECOM (ACM) Wins 7-Year Deal to Design Cloudburst Strategies
AECOM ACM received a seven-year task-order program from the New York City Department of Environmental Protection (NYCDEP). ACM was selected to provide design services for the cloudburst management program, alleviating nuisance floods in at-risk areas.
Per the deal, AECOM will implement multi-benefit, integrated flood risk reduction systems that manage stormwater during wet weather events to improve public spaces, reduce impact on the natural environment and bolster the resilience of social, environmental and economic systems.
NYCDEP, with the help of ACM, will be able to deliver innovative nuisance flooding mitigation strategies. ACM has successfully implemented stormwater cloudburst strategies and designs in some of the nation’s most challenging environments.
Solid Project Execution Aid the Business
AECOM is a leading solutions provider supporting professional, technical and management solutions for diverse industries across end markets like transportation, facilities, government and environmental, energy and water businesses.
At the beginning of 2023, AECOM announced a strategic agreement with the Spanish infrastructure group — URBAS — to develop green hydrogen, green ammonia and biofuels projects. It is also part of a framework working on ATOME Energy’s green hydrogen and ammonia facility in Villeta, which is being supported by Paraguay’s National Electricity Commission.
Demand for AECOM’s technical, advisory and program management capabilities is increasing on the back of an improving funding environment, highlighted by the recent passing of the federal infrastructure bill in the United States as well as rising demand for ESG-related services. This underpins the company’s expectation for accelerating revenue growth in fiscal 2023 as well as continued margin, adjusted EBITDA and adjusted EPS growth.
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In the past three months, shares of the company have gained 7.1% versus the Zacks Engineering - R and D Services industry’s 13.7% growth. The stock rose 0.27% on Jul 20. Earnings estimates for fiscal 2023 have moved a cent north in the past seven days. This reflects 6.9% year-over-year growth.
Zacks Rank & Other Key Picks
AECOM currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Some othe top-ranked stocks in the same space are Willdan Group, Inc. WLDN, Altair Engineering Inc. ALTR and Howmet Aerospace, Inc. HWM.
Willdan Group is a nationwide provider of professional, technical and consulting services to utilities, government agencies and private industry.
Willdan Group presently carries a Zacks Rank #2. Its expected earnings growth rate for 2023 is 39.8%.
Altair currently sports a Zacks Rank #1. ALTR delivered a trailing four-quarter earnings surprise of 135.8%, on average.
The Zacks Consensus Estimate for ALTR’s 2023 sales and EPS indicates growth of 7.8% and 11.2%, respectively, from the previous year’s reported levels.
Howmet Aerospace is a global manufacturer of engineered products serving the aerospace, defense and commercial transportation industries. The company is expected to benefit from higher aircraft production rates and ease of supply chains in the transportation market. Importantly, share gains in the titanium aerospace market are expected to be a major tailwind. Howmet Aerospace currently carries a Zacks Rank #2.
HWM’s earnings for 2023 are expected to grow by 20.7%.
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Altair Engineering Inc. (ALTR) : Free Stock Analysis Report
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Howmet Aerospace Inc. (HWM) : Free Stock Analysis Report
